OREANDA-NEWS. September 6, 2007.  Hereby we are pleased to take an opportunity to inform you on recent changes and development on B.I.N.BANK (Joint-Stock Company). Please find enclosed our latest RusRating report on B.I.N.BANK.

FitchRatings has affirmed all B.I.N.BANK’s ratings on 16 August 2007. The ratings consider the bank’s efforts to diversify operations both by business segment and geographically, its relatively low level of market risk and loan impairment, and adequate capitalisation levels. At the same time, B.I.N.BANK has indicated its intention to achieve growth through increased diversification into retail and small to medium-sized enterprise lending. The move to these higher-yielding but high-risk segments could help support margins and profitability, but will require tight cost and credit quality controls.

B.I.N.BANK has not been affected by the tax evasion charges brought against OAO NK RussNeft. Due to the information appeared in the press, connecting RussNeft and its former owner Mr. Gutseriev with B.I.N.BANK we would like to point out that B.I.N.BANK is not connected to RussNeft and Mr. Gutseriev. Co-founder of B.I.N.BANK, Mr. Gutseriev doesn’t own B.I.N.BANK nor directly nor indirectly and is not a member of Management Board or Board of Directors. B.I.N.BANK and RussNeft were two different legal entities with no common shareholders or top management. In 1996 operational control of the Bank passed to Mr. Mikhail Shishkhanov, while Mr. Gutseriev has focused on the oil business. RussNeft is a client of the Bank and the Bank is not the only bank for such a big oil company. Direct credit exposure to Russneft and other assets of Mr. Gutseriev, as reported to Fitch, is also currently moderate, equal to 8% of end-H107 Bank equity (about USD 20 mln). According to annual 2006 IAS accounts, transactions with affiliated companies fell off substantially in 2006 on both the asset and funding sides and were about 2% of the Total Assets and even less in Total Liabilities.

On 30 July 2007 the Board of Directors of RussNeft accepted the resignation of company’s President Mr. Gutseriev; Mr. Oleg Gordeyev, Senior Vice-President, has been appointed acting President. On 27 July a subsidiary of the “Bazovy Element group” requested the approval of the Federal Anti-Monopoly Service (FAMS)for its acquisition of a controlling stake in RussNeft. The deal now going through, RussNeft can become part of BazEl’s En+ energy division. On August 4th, FAMS confirmed this fact. The purchased stake in RussNeft by Mr. O. Deripaska is now in the final stage.

Today, the Bank continues active growth. All ratings are being confirmed by the esteemed international rating agencies as well as by national ones. Bank enters top 30 largest banks in Russia and most reliable and stable institutions. We expect IAS interim report on B.I.N.BANK by the end of September 2007. B.I.N.BANK will keep you informed about our latest developments during first half of the year.

Thank you for your interest and attention to B.I.N.BANK. We consider your esteemed institution as our privileged partner and we are grateful to your business cooperation. Hope that our future deals will be even more successful.